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Summarizing the current state of knowledge on the links between business and climate change, this timely Handbook analyzes how businesses contribute to and are affected by climate change, looking closely at their centrality in developing and deploying solutions to address this problem.Contributions from a global collection of scholars and practitioners explore a broad range of key industries’ impacts and responses to climate change, examining corporate strategy and leadership in the climate economy, functional perspectives and corporate practice, and climate finance. Chapters use diverse case studies to analyze climate-related business issues, including supply chain management, decarbonization, consumer decision-making, and climate-related financial investments. The Handbook delves deeper into how businesses perceive the issue of climate change, how they are affected by and engage with it, as well as the impact they have and what this impact costs. Forward-thinking, it concludes with reflections from the contributors on what the future holds for businesses and climate change.Covering matters relating to finance, economics, marketing, operations, strategy, leadership and communications, this interdisciplinary Handbook will prove invaluable to students and scholars in business management, sustainability and environmental studies, as well as to sustainability officers (and their staff) in corporations. Addressing, as it does, a wide range of climate-related issues from the corporate standpoint, it will also prove to be a useful resource for policymakers concerned with enabling solutions to climate change.
Edited by Anant K. Sundaram, Clinical Professor of Business Administration and Robert G. Hansen, Norman W. Martin 1925 Professor of Business Administration, Tuck School of Business, Dartmouth College, US
Contents:1 Introduction to the Handbook of Business and Climate Change 1Anant K. Sundaram and Robert G. HansenPART I THE BUSINESS CASE FOR CLIMATE CONCERNS2 Business and climate change 8Anant K. Sundaram3 The end of combustion? 38David HonePART II KEY INDUSTRIES: IMPACT AND RESPONSE4 Banks and climate change risk 58Edwin Anderson, Ilya Khaykin, Alban Pyanet and Til Schuermann5 The patchwork quilt: business complexities of decarbonizing the electric sector 89Scott G. Fisher, Bruce A. Phillips and Mark W. Scovic6 Implications of fully decarbonizing the electric industry for business:Icarus or Daedalus? 120Bruce A. Phillips, Scott G. Fisher and Mark W. Scovic7 Climate change and the insurance industry – risks and opportunities fortransitioning to a resilient low carbon economy 145Maryam Golnaraghi8 Climate change and aviation 187Vincent Etchebehere9 Leaders and laggards: how have oil and gas companies responded to theenergy transition? 208Julia Hartmann, Andrew Inkpen and Kannan RamaswamyPART III CORPORATE STRATEGY AND LEADERSHIP IN THECLIMATE ECONOMY10 Climate change communication strategies 231Paul Argenti, Posie Holmes and Marloes Smittenaar11 Corporate strategy and climate change: a nonmarket approach toenvironmental advantage 251Thomas C. Lawton and Carl J. Kock12 Owens Corning: environmental footprint reduction as the foundationfor building a net-positive future 271Frank O’Brien-Bernini and Amanda Meehan13 Climate preparedness for business resilience 294Janet Peace and Kristiane HuberPART IV FUNCTIONAL PERSPECTIVES AND CORPORATE PRACTICE14 The equity value relevance of carbon emissions 326Peter M. Clarkson, Jody Grewal and Gordon D. Richardson15 Getting to 2050: transparency for setting and reaching supply chainclimate goals 340Suzanne Greene and Alexis Bateman16 Commodity supply chain management and climate change: a case studyof the palm oil industry 359Yinjin Lee and Alexis Bateman17 Carbon pricing 379Robert G. Hansen18 Shifting consumers’ decisions towards climate-friendly behavior 405Rishad Habib and Katherine WhitePART V CLIMATE FINANCE19 Mainstreaming climate action in public and private investments:mobilizing finance towards sustainable investments through the bond markets 430Heike Reichelt, David P. Allen and Scott M. Cantor20 Green bonds: investor, issuer and climate perspectives 458Christa Clapp, Keith Lee and Anouk Brisebois21 Cost of capital and climate risks 480Gianfranco Gianfrate, Dirk Schoenmaker and Saara Wasama22 ESG investing 503Anant K. SundaramPART VI THE FUTURE23 Reflections on the future 526Arranged and edited by Anant K. Sundaram and Robert G. HansenIndex